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The Bay Manufacturing Company expects to sell 25,000 pens at $26 each. The direct material costs are ...

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The Bay Manufacturing Company expects to sell 25,000 pens at $26 each. The direct material costs are ...

The Bay Manufacturing Company expects to sell 25,000 pens at $26 each. The direct material costs are $5 and direct manufacturing labor is $9, and manufacturing overhead is $1.80 per pen. The following inventory levels apply to 2012:

   Beginning Inventory   Ending Inventory

Direct materials   29,000 units   29,000 units
Work-in-process inventory   0 units   0 units
Finished goods inventory   3,000 units   3,500 units

On the 2013 budgeted income statement, what amount will be reported for sales? How many pencils need to be produced in 2013? Compute the amount of cost of goods sold on the 2013 budgeted income statement.

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Managerial Accounting: Decision Making and Motivating Performance

Edition: 1^st

Authors: Datar, Rajan

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Managerial Accounting: Decision Making and Motivating Performance
University of Pittsburgh

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8 years ago

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Managerial Accounting: Decision Making and Motivating Performance
University of Pittsburgh

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